Top Consumer Stocks
Consumer stocks are mixed with shares of consumer staples
companies in the S&P 500 adding around 0.3%. Shares of consumer
discretionary firms in the S&P 500 are down about 0.2%.
In company news, Shares of YRC Worldwide (
) are up 13% this afternoon after the shipping and logistics
company said it has reached a tentative deal with the International
Brotherhood of Teamsters on an extension of its collective
bargaining agreement through March 2019.
YCRW has been seeking to refinance two series of convertible
notes in a bid to reduce its debt load by around $300 million. The
deal calls on investors to pay $250 million in cash for newly
issued YRCW stock priced at $15 a share. The remaining $50 million
in debt will be cut by its conversion into stock.
But YRCW creditors conditioned their agreement to refinance the
company's debt on the union's accepting a contract extension that
would keep a 15% wage cut in place through 2019 as well as delaying
scheduled pay increases and reducing vacation time. Teamster
employees at YRCW voted down those terms two weeks ago but agreed
last week to reopen talks with with the company.
In other sector news,
(+) BUD, (+2.0%) Early Monday announces deal to buy back
Oriental Brewery for $5.8 bln, exercising an option allowing it to
reacquire the South Korean firm by July 2014 - or five years after
BUD sold the brewery to Kohlberg Kravis Roberts for $1.8 bln.
(-) CAW, (-1.6%) Health, beauty products seller projects FY13
net loss over $6.1 mln. Also plans to outsource certain sales and
administrative duties to Emerson Group with warehousing and
shipping taken over by OHL, saving CAW about $3.5 mln in first
year. Expects $300,000 restructuring charge in Q1 but returning to
profitability in FY14.
Copyright (C) 2013 MTNewswires.com. All rights reserved. Unauthorized reproduction is strictly prohibited.